Govt Cuts Airport Charges by 25% to Keep Airfares Affordable Amid Fuel Price Surge

New Delhi, April 2026 : In a major relief measure for airlines and passengers, Civil Aviation Minister Ram Mohan Naidu on Wednesday announced a 25 per cent reduction in landing and parking charges for domestic carriers at airports across the country. The move aims to keep airfares affordable amid a sharp rise in aviation turbine fuel (ATF) prices triggered by the ongoing West Asia conflict.

The minister said the decision is expected to reduce the financial burden on airlines by approximately ₹400 crore over a three-month period, enabling them to contain fare increases despite rising operational costs.

To implement the measure, the Ministry of Civil Aviation has directed the Airports Economic Regulatory Authority (AERA) to reduce landing and parking charges by 25 per cent at all major airports under its jurisdiction. The revised rates have come into immediate effect for domestic flights and will remain applicable for three months.

According to the directive, any revenue shortfall faced by airports due to this reduction will be compensated during the next tariff determination cycle, which typically spans five years. This ensures that airport operators are not adversely affected in the long term while providing immediate relief to airlines.

In parallel, the Airports Authority of India (AAI) has been instructed to implement a similar 25 per cent reduction in landing and parking charges at non-major airports. This step ensures uniform benefits across both major and smaller airports, covering a significant portion of India’s domestic aviation network.

Highlighting the rationale behind the decision, Naidu said the government remains committed to making air travel affordable and accessible. “Under the leadership of Prime Minister Narendra Modi, our focus has been to make flying a convenient and affordable option for passengers,” he said.

He pointed out that global ATF prices have surged by more than 100 per cent in recent months due to geopolitical tensions, but the impact on passengers has been moderated. “While fuel costs have doubled globally, we have ensured that only a limited increase of around 25 per cent has been passed on,” the minister noted.

The reduction in airport charges is part of a broader strategy to support airlines facing rising costs and to prevent a sharp spike in ticket prices. By lowering operational expenses, the government aims to maintain stability in the aviation sector while safeguarding passenger interests.

Officials said the Ministry is closely monitoring the evolving situation and remains prepared to introduce additional measures if necessary. The goal is to ensure uninterrupted operations, financial viability of airlines, and continued affordability for travellers.

The current crisis in West Asia has posed significant challenges to global aviation, affecting fuel prices, flight routes, and overall operational dynamics. Despite these pressures, India’s domestic aviation sector has remained resilient, aided by timely policy interventions and regulatory support.

The latest move underscores the government’s proactive approach in balancing the interests of airlines, airport operators, and passengers during a period of uncertainty. By cushioning the impact of rising costs, the initiative is expected to provide immediate relief while reinforcing confidence in the sector.